Thought of the Day - Auditors Do Not Know Your Business

Posted on September 9, 2010 by Cyndee Todgham Cherniak

Mistakes are made by auditors because they do not know your business.  You may think that you have the advantage over an auditor because you know what they do not know.  Unfortunately, it does not work that way.  What the auditor does not know, he will assume.  He is allowed to make assumptions.  he is allowed to make incorrect assumptions.  If the auditor makes an assessment based on incorrect assumptions, you have the right to provide evidence to rebut those presumptions.  However, the cost of going to court often exceeds $100,000.  The morale of the story is that it is cheaper to be humble and sit down with he auditor and explain your business.  Tell him what he should know to do his job correctly.  Treat the auditor like an apprentice and share what you took years to learn and understand.

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